Importing from China has proven a successful tactic of global sourcing for many businesses. Products made in China such as shoes, clothing, electronics, paper, home furnishings and many more are popular worldwide.
However, it is not an easy task, especially for the newbies. The importing process can be extremely complex, confusing, and costly. Expected gains can often be erased by long transit times, rising or fluctuating delivery costs, regulatory fees, and unexpected delays.
Here’s a step by step guide from the view of us, let’s check out how to import from China, and what you can do to make the process more smoothly and efficiently.
Suppliers in China offer a wide variety of goods to suit every business need. Everything from lower-priced commodities to new arrivals in the market will give you a competitive edge.
According to a report analysis published in 2016, China’s export market is worth ￡2.94 billion. Therefore, it’s safe to say that it holds more than enough for every business owner to enjoy.
As a proven tactic of global sourcing for many entrepreneurs, importing goods from China will certainly diversify any business. However, for those who are new to the trade, the process may seem extremely complex, costly and challenging.
Factors such as fluctuating delivery costs and regulatory fees may hard to understand.worry not! Here are 8 important tips on importing goods from china.
This is perhaps the most important starting point for any business that wants to import goods from China.
Before embarking on the actual importation process, be clear about what you want to achieve.
Choosing the wrong products will make the business lose sufficient time and money. All successful importers know the importance of choosing the right products for reselling.
Therefore, be sure to gather sufficient information about your goods of choice.
Also, obtain descriptive literature, product composition, and samples before making a final decision.
This is Crucial in furthering your understanding of the products as well as what you will get in return. Remember to:
Choose a product that you are passionate about.
Choose a unique product that can be sold at a higher price.
Choose a product that has low shipping costs per unit and can be shipped in large quantities.
Once you have sufficient information about the products that you want to import, learn about how they can be imported.
As you will be shipping in bulks, outsourcing the work to a freight forwarder is the cheapest way to go. However, if your packages are small and for personal use, Courier delivery services will work better in comparison to the use of big shipping agencies.
Before importing goods from China, research on the rules and regulations that you need to comply with.
Usually, import rules often depend on the type of products that you are importing. For instance, children’s products such as toys, textiles, and footwear, furniture or chemicals all have regulation on packaging and credibility.
First and foremost, it’s important to understand that the importer is liable for all the goods that they choose to import.
As such, any compliance irregularities will be directed towards you, not your supplier. To avoid any discrepancies, ensure that you work with a reputable Chinese supplier.
Also, make certain that the supplier equally complies with all set regulations.
Understanding your supplier’s priorities as well as your own strengths and weaknesses will allow you to negotiate the right deal.
For instance, you could offer to pay your suppliers more promptly in exchange for better prices.chinese suppliers believe in building goods business relationships.
As such, they will be happy to avail products to you regularly.
As with any other business transaction, importing goods from China should also involve a clear contract between you and the suppliers.
Clearly, state the payment and delivery terms that you have been agreed upon, the currency and payment method used.
To reduce any misunderstanding, ensure international commercial terms(ICT)of agreements are used on the contract.
Importing from China requires using the right 10-digit commodity code for your goods.
This will assist in filling out the paperwork accurately and even looking up important information such as duty rates and restrictions that apply to your goods.
It’s best to have a valid import license that will allow you to import goods from China to your country of choice.
The license will ensure that you do not face any challenges during the process.
All traders who import goods from China have to pay a Value-added Tax(VAT) and import duty before being cleared for entry into their country of choice.
However, this is usually dependent on the classification of goods.
Follow these steps and you will benefit from importing goods from China. Whether you are a first-time importer or have been frequently using this process as a line of trade, these tips will always be applicable. They are exactly what you need to make your business thrive.
If you want to import any kinds of products from China, Leeline sourcing will be your right choice, with over 10 years experience in the sourcing field, we assure you our service is reliable and efficient.
Contact us and learn more about our service, visit our website.